The reason why people are charged for an additional can of soda they get from a soda machine, but are not charged for an additional paper taken from a newspaper dispensing machine, is that the marginal utility of an additional:
A. Soda is close to zero, but the marginal utility of an additional paper diminishes slowly
B. Soda diminishes slowly, but the marginal utility of an additional paper is close to zero
C. Soda increases by more than that of the newspaper as consumption increases
D. Newspaper increases by more than that of soda as consumption increases
B. Soda diminishes slowly, but the marginal utility of an additional paper is close to zero
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A newspaper headline reads "A New Wave of Workers Enters the Job Market!" This wave of young, new entrants to the labor market is likely to lead to
A) no effect on the unemployment rate. B) an increase in the natural unemployment rate. C) a decrease in the natural unemployment rate but an increase in the actual unemployment rate. D) a decrease in the unemployment rate. E) a decrease in the country's potential GDP.
If only one player in a game has a dominant strategy, there can be no Nash equilibrium
Indicate whether the statement is true or false
For a given nominal exchange rate and foreign price level, a decrease in the domestic price level ________ the real exchange rate.
A. decreases B. may either increase or decrease C. offsets any change in D. increases
Which of the following is considered an advantage of a sole proprietorship?
A) easy to raise large sums of capital B) limited liability for owner C) profit taxed only once D) permits effective specialization